Stocks to Watch: McDonald’s, Halliburton, Tellabs

Tellabs Inc. has agreed to be acquired by private-equity firm Marlin Equity Partners for about $891 million, following a review of the networking-products maker’s strategic alternatives. Under the terms of the agreement, Marlin will acquire Tellabs shares for $2.45 each in cash, a 4.3% premium to Tellabs’ closing price Friday. Shares rose 5.5% to $2.48 premarket.

Halliburton Co.’s third-quarter earnings rose 17% as the oil-field services company’s revenue growth continued to be led by its international operations, offsetting tepid growth in North America and impacts from widespread flooding in Colorado last month. However, the growth wasn’t as strong as that posted by rivals Schlumberger Ltd. and Baker Hughes Inc. on Friday. Shares fell 1.3% to $51.81 premarket.

McDonald’s Corp.’s third-quarter earnings rose 4.6% as the fast-food restaurant company’s revenue rose 2.4%. However, sales were slightly lower than analysts’ expectations and shares were down 1.7% at $93.55 premarket.

U.S. Steel Corp. said Friday it expects to record a $1.8 billion writedown for its North American flat-rolled and Texas operations in the third quarter. The steel producer said the noncash goodwill impairment charge won’t affect the company’s liquidity or compliance with debt covenants. Shares were up seven cents at $24.05.

WebMD Health Corp. will repurchase all of its shares that are owned by Carl Icahn and certain of his affiliates for $177.3 million. The health-information provider will buy back 5.5 million shares for $32.08 a share, its closing price on Friday. The deal, which is expected to be completed Monday, will be funded from WebMD’s cash on hand. Shares rose nearly 1% to $32.39.

The U.S. Food and Drug Administration on Friday said it had approved Swiss company Actelion Ltd.’s (ALIOY, ATLN.VX) Opsumit drug to treat pulmonary arterial hypertension.

AO Smith Corp.’s third-quarter earnings rose 25% as revenue improved 16% thanks to a growing home-construction market in the U.S. and continued strength in China. The water-heater producer’s adjusted earnings and revenue beat expectations. The company also raised its 2013 earnings guidance.

Carlisle Cos. has agreed to sell its transportation-products business to American Industrial Partners in a deal worth $375 million, as the diversified manufacturer looks to focus on higher-margin and faster-growing businesses.

Crown Castle International Corp.'s third-quarter earnings rose 9% as the cell-tower company’s site rental revenues increased. Revenue topped analysts’ expectations and the company unveiled plans to initiate a dividend of 35 cents a year for the first quarter of next year, subject to the completion of AT&T Inc.’s deal to lease cell towers and sell some others to Crown Castle for about $4.85 billion.

Dole Food Co. said Friday proxy-advisory firm ISS recommended shareholders support the company’s agreement to be acquired by Chairman and Chief Executive David H. Murdock when a special meeting of stockholders to approve the merger is held Oct. 31.

HCI Group Inc., an insurance-holding company, said it has adopted a shareholder-rights plan with a 10% trigger in order to “ensure implementation of the company’s long-term business plans.” The company said the board didn’t adopt the plan in response to any proposal to acquire control of the company.

Ultra Petroleum Corp. agreed to acquire oil-producing properties in the Uinta Basin for $650 million, increasing the exploration and production company’s exposure in northeast Utah.

VF Corp.’s third-quarter earnings rose 14% as the maker of North Face and Wrangler apparel reported stronger sales in its main outdoor and sports business. The company also unveiled a four-for-one stock split, as well as a 21% boost in its current quarterly dividend to $1.05 a share.